China is determined to continue adjusting its national economy and developing the economy of its coastal areas as well, Chinese Party leader Zhao Ziyang said on December 3 in Beijing.

"We can find a way to promote the export-oriented economy in the coastal areas while ensuring the smooth implementation of the policy of improving the economic environment and rectifying the economic order," he said.

Zhao, general secretary of the Chinese Communist Party, was speaking to a group of officials from coastal areas who were attending a conference on the work of opening coastal markets to the outside world.

China's present efforts to tune up the economy are different from previous ones in that they are occurring at a time when China is welcoming exchanges with the rest of the world, he said. "We should make the best use of this favourable situation and try to reduce and overcome the difficulties during the adjustment process," he added.

Zhao stressed the importance of developing an export-oriented economy in the coastal areas. "We should increase economic and technological exchanges with foreign countries by fully using China's manpower, technology, infrastructure and industrial ability," he said.

Foreign-owned enterprises also should be encouraged, the general secretary said. Foreign capital and advanced foreign technology and management could be useful in transforming the country's existing enterprises and expanding exports, he said.

In order to accommodate more exports and foreign investments, Zhao pointed out that adjustments should be made to the coastal area's economic structure. Such changes should occur in regard to industries, product mix, investment and credit. These should promote the development of the export-oriented economy and restrain factors detrimental to the country's overall economic reform. Specifically, those products that consume a large amount of energy and raw material as well as those enterprises with poor economic returns should be cut back. This will save energy, raw materials and funds for an export-oriented production that will profit the entire national economy.

While processing such an overhaul, Zhao said, "One side of the net" should be left open for more exports from the coastal areas. At the same time, supervision should be strengthened to ensure the strict implementation of government regulations and policies.

Premier Li Peng also spoke at the meeting. When talking about developing an export-oriented economy and foreign trade, Li stressed the. importance of honouring contracts, delivering exports on time, upgrading product quality arid renewing product designs in accordance with the demands of an international market. He also called for better co-ordination between various departments and enterprises involved in such matters so as to prevent unchecked imports and exports.

(No. 51, 1988)